§ 1. Definitions.

The following words and phrases, whenever used in this appendix, shall be construed as defined below:

a.

"Basic cable service" shall have the meaning given in 47 U.S.C. § 522(3), as in effect on the date hereof.

b.

"Cable service" shall mean the one-way transmission to subscribers of video programming or other programming service.

c.

"Grantee" shall mean Baldwin Telecom, Inc., and its successors and assigns.

d.

"Gross revenues" shall mean the grantee's gross revenues derived from the provision of cable service to subscribers in the municipality. "Gross revenues" shall not include (i) revenues from franchise fees, pay-per-view, advertising, telecommunications services (other than cable service) or any tax or fee on services furnished by grantee and imposed by any municipality, state or other governmental unit, or (ii) bad debt.

e.

"Municipality" shall mean the Village of Hammond.